Enqurie about FIRB,stamp duty, capital gain tax from foreigner; Are there differences about the rate for Firb, stamp duty, capital gain tax in each Australia state ?
Kindly enquire:
1.Is the rate of FIRB different from each state?
2.What is the policy or charge rate about FIRB for foreigner to invest house & land, apartment and second-hand house separately? Thanks!
3.Is there any different rate in stamp duty for a foreigner to pay among house & land, apartment, and second-hand house? If so, please ask what is the rate separately ? Thanks!
4.Are there some conditions to sell out the property as foreigners or they can sell it out anytime if they are not satisfied it?
5.Could please ask what the tax rate from property capital gain is for the foreigner?
Answers
Sheldon Mak
[Sheldon Mak, Solicitor & Chartered Accountant | WeChat: SheldonMai]
1. The FIRB is the same for each state, as it is charged at the federal level not at the state level.
2. The FIRB fee for residential properties uses the same rate regardless of apartment, townhouse, villa or house.
3. The stamp duty foreign person surcharge rates are different for each state. For NSW, the foreign person surcharge stamp duty is 8%, but the rate is the same regardless of apartment, townhouse, villa or house.
4. There is a short window of time to sell if you are found out to have bought the property in breach of FIRB requirement (not having the FIRB approval, or the FIRB approval has been rejected).
5. The capital gain tax rates for foreign tax residents (which may be Australians living overseas) are the same as the foreign resident income tax rates (from 32.5% to 45%). However a Chinese citizen living in Australia is likely an Australian tax resident even though a foreign citizen, i.e. he/she is a foreign citizen for immigration purposes and an Australian resident for income tax purposes.
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